Friday, October 24, 2008

Like Lipstick on a Pig!

Yes I know that politicians have hijacked that phrase but it's relevant to this posting, I swear! Looks like August's home price declines slowed slightly! Yes, they still fell, but LESS than in prior months! Okay, okay, so a .02% improvement is not that great but I'm just looking for any positives here! And for all you info geeks, we are right around the same price level as in Sept. 2005. So all you 'bubble' fans can see that we did have some major appreciation; likewise we have had some declines. At the end of the day, we still have oversupply, especially with foreclosures, but the major source of that oversupply (new homes) will continue to fall as unfortunately we have lost a lot of builders (or they stopped building spec homes).

Full disclosure--the same article I read noted that prices may still fall an overall 10% additionally (over the next 18 months) from the peak of 2006 so we're still in for a ride; hoping for a slow ride down a hill versus a jump off a cliff! Data is listed here if you're curious.

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